Audit The Fed

Congressman Ron Paul has submitted a bill which would require an audit of the Federal Reserve by the end of 2010. This bill is a landmark bill of historical significance.

The Federal Reserve system was created in 1913 and has never been audited. This is particularly disturbing when considering that the Federal Reserve has handed out hundreds of billions of dollars to failing financial companies and foreign central banks during this recession.

The Federal Reserve system is complicated. I will attempt to explain it as best as I can:

The Federal Reserve is essentially owned by its 12 regional banks. These regional banks are in turn owned by its “member” banks–ie: the banks that your money is held in. The Federal Reserve is considered to be a private institution, yet Congress has given it the sole power to print money. The Federal Reserve also has the power to control interest rates, as well as control the percentage of deposits that banks keep on hand.

The Federal Reserve has played a key role in causing every major financial crisis since its inception, including the Great Depression and the current crisis.

The following two videos are truly shocking. The Federal Reserve doesnt seem to have any idea who received the hundreds of billions in bailout money. Remember: every dollar printed and given away by the Federal Reserve devalues your savings.

I have been coordinating an effort to contact Senators to convince them to support the ill to audit the Federal Reserve (S. 604). So far, 33 Senators have sponsored or cosponsored this bill. We will need 60 to assure passage of the bill and 67 to achieve a veto-proof majority. The House version of this bill has 318 Congressmen on board–well over the number required for a veto-proof majority.

Congressman Ron Paul has submitted a bill which would require an audit of the Federal Reserve by the end of 2010. This bill is a landmark bill of historical significance.
The Federal Reserve system was created in 1913 and has never been audited. This is particularly dis